Improving Economic Results of Probolinggo Mango Commodity with Sharia Value Added

Suharsono, Judi and Candra, Sulis (2014) Improving Economic Results of Probolinggo Mango Commodity with Sharia Value Added. International Conference the Indonesian Society of Agricultural Economics.

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Abstract

This study aims to provide an overview and can be used by the Probolinggo society especially farmers in improving the standard of living, especially in the economic sector through the famous quality mango fruit as one of the superior agricultural commodities in Probolinggo. Utilization skills of this mango commodity processing can be increased by adding value while it would also take longer span of time to get benefit of the commodity. This study also aims to reflect the values of Islamic sharia in the calculation of value added so that managers would know exactly to whom the funds channeled, and this aspect can deliberate aspects of justice to all parties involved, namely: 1. Direct stakeholders which consists of: Shareholders, managers, employees, creditors, suppliers, governments; and 2. Indirect Stakeholders, which consists of: mustahik community (zakat, donation, and shadaqoh recipients) and the surrounding society. The research method used is a case study is to explore in detail directly on the commodity group of farmers who cultivate mango. While the main focus on the case of financial calculations in the processing of mango commodity. The analytical method used is to determine the amount of: Fixed Costs, Variable, Product Cost, Break Even Point (BEP), Pay Back Period (PBP), and Sharia Value Added report. The results obtained demonstrate that economic income would have increased over 250%, as well as processed commodity products can last more than 6 months. Most importantly, the use of labor in the processing stage increased thus would reduce unemployment eventually.

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